Fax-related lawsuits are something that no company, whether a small business or a large-scale enterprise, wants to have filed against them. But these cases do appear from time to time, reminding those in the enterprise fax industry that the rules and regulations governing faxing are not to be taken lightly.
Fax mistakes can result in big financial penalties, while deliberate fax regulation infringement can even result in imprisonment. Even a simple mistake can lead to a lawsuit. Do these lawsuits still happen? Here are three that were settled in the last few years alone.
Wrong Fax Number Leads to Class Action Suit
Sending a fax to an incorrect number is a big mistake. Sending a fax containing sensitive and confidential medical information is a lawsuit waiting to happen. That’s what Quest Diagnostics found out less that two years ago when they were hit with a class action lawsuit claiming that they did nothing to prevent faxes that were mistakenly being sent to a marketing firm. The simple mistaken number lead to a data breach of patient names, contact information, dates of birth and even a few social security numbers.
Junk Fax Lawsuit Results in $1.6 Million Dollar Payout
Last year a federal court in St. Louis approved a $1.6 million settlement in a class action lawsuit involving junk faxes sent throughout the dental industry. The settlement equated to about $180 per fax that was sent by an Indiana company who was selling dental products. One dental office claimed that they were getting up to 40 faxes per day, while others had saved faxes that were sent by the same company over a seven-month period. The company also did not provide the mandatory opt-out notice.
Unsolicited Faxes Lead to Another Big Payout
In yet another fax-related case, which was resolved in February this year, Senco Brands Inc. agreed to pay $3 million for sending out more than 28,000 unsolicited faxes that were deemed to be illegal junk advertisements.
The lesson to be learned from both of these cases is to never use your fax machine as a method of advertising products or services. If you feel it is absolutely necessary, make sure that you follow the strict laws that govern these faxes. Better yet, just don’t use your fax machine as a marketing tool.
Avoid Mistakes that Could Result in Lawsuits
It’s easy to avoid sending junk faxes, but mistakes like sending to a wrong number can be more challenging for busy companies to avoid. That’s why it’s essential to have a safe and secure fax program like RightFax, which has features that allow for only specific users to open faxes, keeping vital information safe and secure.
To learn more about how RightFax can secure your faxes, contact The Fax Guys today.